The interesting question for me is what will happen as more gfx card miners are driven to ltc by the arrival of asics in btc mining. A certain proportion of those miners will be cashing out their profits which you would expect to push ltc down relative to btc as it is comparatively illiquid.
Often difficulty and price are correlated. If LTC difficulty continues its massive rise (GPU BTC miners seeking a way to keep mining by switching to LTC) it will either require a continued rise in price or many miners will find themselves in an unprofitable situation. That's not to say that there couldn't be a situation where diff is high and prices are low. From what I understand in the fall of 2011 there was that kind of situation with BTC where difficulty was still coming down but prices hit something like $2.50. A lot of people got out. Barring a situation like that, perhaps we'll see price and diff continue their ascent. Afterall, I think many people like the features of LTC and would like to see an alternative to BTC.
